We recognise that it can be very difficult and stressful when your circumstances change, and you find yourself unable to meet financial commitments. This can happen if you lose your job, become ill or find your personal circumstances have changed. Sometimes, these can be addressed easily but if ignored, can be damaging. For example, missing a payment will increase the cost of your loan over the long term and may also affect your credit history. This may limit your ability to access credit in the future. That’s why if you find yourself in this position, it is important to seek help as soon as possible.

We are committed to helping members in financial difficulties. We understand each member’s situation is different and needs to be assessed based on their circumstances.  As a responsible lender we try hard to be flexible to help individual members and can often agree an alternative arrangement if your circumstances change. However, we have a duty and legal right to recover monies borrowed, as these are the savings deposited by other members.

You are not alone in finding yourself in this situation. You can contact any member of our Credit Control team at 01 6778648 (option 5) or call to any of our branch offices and talk to the local branch manager to discuss your circumstances and seek advice. Our staff are available Monday to Friday 9am to 5pm.

You may also contact an independent advisor such as the Money Advice and Budgeting Service (MABS) (see the Useful Contacts section) for advice and support.

You should be aware that reduced payment arrangements or arrears will form part of your credit history with the Central Credit Register*. This may impact your ability to obtain credit with us and other financial institutions in the future.

• Don’t ignore the problem – it could affect your credit rating, so it is important to act quickly to address any potential issues.
• You may find it useful to draw up a budget based on your current income and spending. The Competition and Consumer Protection Authority (CCPC) has a useful budget planner which may help you. We have linked to it here. In that planner, you can input your income and bills and other expenses. It may help you find areas where you can make some savings.
• Contact us if you are facing difficulties. It is important that you keep in touch and engage fully so that we can help you work out a resolution. If you have a repayment-protection policy, you might be able to make a claim.
• Please ensure payments continue to be made on foot of your loan account until we have agreed a weekly/monthly payment that is suitable for you and the Credit Union as this may affect an agreement being reached.
• You should be aware that reduced payment arrangements or arrears usually affect your credit report with the Central Credit Register. This may impact your ability to obtain credit with us and other financial institutions in the future.

Where an account has insufficient funds to meet a payment request, we may allow unauthorized borrowing (i.e., referral item) or return the request unpaid. The following are the charges that can apply in such circumstances:

• A referral fee of €5 per item (max of €15 per day) will be applied if a cheque(s) or debit(s) is presented for payment and paid, but there are insufficient cleared funds in the account to meet it at the time of presentation.
• A charge of €10 will be applied to your current account for all unpaid Direct Debits, Standing Orders or Cheques.
• The interest rate applicable to an unauthorised overdraft balance is 12% per annum and charged to your account quarterly. (Surcharge interest is currently not charged to accounts with unauthorised overdrawn balances.)
• Where it relates to a mortgage, we will provide you with an estimate of costs in relation to any potential repossession proceedings regarding your property. This would ordinarily only arise where we have been unable to resolve matters directly through the Mortgage Arrears Repayment Process.  If the property is sold, and a shortfall remains, you will remain liable for any outstanding debt, which may include legal and related costs.

What is it?

The Central Credit Register (CCR) is a national mandatory database of personal and credit information. We are obliged by law to submit information monthly to the CCR on loan performance. The CCR is owned and operated by the Central Bank of Ireland. For more information, including on how your data is processed, see www.centralcreditregister.ie

You may request your credit report from the CCR free of charge subject to fair usage.  It is a factual reporting of your credit information and not a credit score or rating.

What must we do?

We are also obliged to conduct a credit check with the CCR for all loan applications of €2,000 or more. (The consent of borrowers is not required to submit information to the CCR or to enquire on the CCR.)

If we amend the terms of the loan, we must report that to the CCR as a Restructure Event. (This is a term to describe an arrangement has been put in place to help a borrower in financial difficulty.) Similarly, if you fall behind with your repayment, we must report that to the CCR. The report to CCR will show the number of payments you have missed.

This information will form part of your overall credit report held by the CCR and is accessible to other financial institutions when you engage with them for lending.

If you are having trouble meeting your mortgage repayments with us or concerned that you may have trouble in the future, please contact us. We have an Information Booklet on dealing with mortgage arrears which is available at the following link. It sets out important information on our process.  A printed copy is available on request from any of our branches.

In accordance with our obligations under the Central Bank (Supervision and Enforcement) Act 2013 (Section 48) (Lending to Small and Medium-sized Enterprises) Regulations 2015 (“the “SME Regulations”), we have an Information Booklet on Lending to Small and Medium Enterprises available at the following link.

This Information Booklet outlines our approach to dealing with SMEs in financial difficulty and gives information on the support which we will provide to our SME borrowers in this situation.  A printed copy is available on request from any of our branches. A copy of the SME Regulations is available on the website www.centralbank.ie.

Warning: If you do not meet the repayments on your credit agreement, your account will go into arrears. This may affect your credit rating which may limit your ability to access credit in the future.

Warning for Mortgages: Your home is at risk if you do not keep up payments on a mortgage or any other loan secured on it.

Warning for Mortgages: The payment rates on this housing loan may be adjusted by the lender from time to time.

NOTICE: Under the Credit Reporting Act 2013 lenders are required to provide personal and credit information for credit applications and credit agreements of €500 and above to the Central Credit Register. This information will be held on the Central Credit Register and may be used by other lenders when making decisions on your credit applications and credit agreements.

Money Advice and Budgeting Service (MABS)

You can get free confidential and independent advice from your local MABS office on managing your debt.

They support people in financial difficulties  – see their details at www.mabs.ie. They can be contacted also at 0818 072000.  (Many other debt advisory centres charge a monthly fee, and often your first payment goes to pay for their services and not to your creditors.)

Insolvency Service of Ireland

The Insolvency Service of Ireland is the national agency responsible for all matters concerning personal insolvency and bankruptcy.

Phone: 01 764 4200 Website: www.backontrack.ie

Competition and Consumer Protection Authority (CCPC)

The CCPC provides information on financial products. They also have a variety of online tools to provide support and advice to consumers such as spending and budgeting tools. They also offer information on their website such as debt action plans to support consumers in managing their arrears, which could be a useful reference.

Phone: 01 402 555 Website: www.ccpc.ie/consumers

Department of Social Protection

This website provides information relating to state benefits you may be entitled to.

Website: www.welfare.ie

Office of the Revenue Commissioners

The Office of the Revenue Commissioners’ website provides information on all tax credits and benefits you may be entitled to.

Website: www.revenue.ie